All Forum Posts by: Dee M.
Dee M. has started 16 posts and replied 47 times.
Post: SFR Aurora/Denver 1936 sq. ft. 3/2 260-265 ARV/Hot Denver Market!

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
***Crazy Hot Denver Market**** Good Rental/Buy and Hold
Just South of Colfax and near the CU/Anschutz Medical Center. Approximately 1,936 Sq. Ft., 3 bedrooms/2 baths, basement is approximately 700 ft. with non-conforming bedroom (Built 1950). No HOA, taxes are 650.00/YR, sewer line is in good condition, recently scoped. House has been a rental for many years, tenant is vacating and property needs updating (paint, flooring, carpet, kitchen cabinets), roof is good, HVAC has been updated with newer furnace. Rehab costs; 35K. ARV in this neighborhood is 260K/265K with this square footage, and we all know it's virtually impossible to buy a SFR in Denver under 200K! New rent, IMHO, with updates could be $1,850.00 to $2,000.00 (due to 4 bedrooms and square footage.) In the RIGHT situation I would provide a hard money loan for someone to purchase (rehab funds) with a competitive rate, however, the Ideal situation would be a outright cash purchase. Please e-mail me if interested at: [email protected] or PM on BP with questions.
Post: Better to rehab and flip in a more expensive neighborhood?

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
Depends on YOUR market, location, location, location, doesn't apply in our market currently. We've done incredibly well in not the most desirable areas recently.
Post: Why is the drywall on foreclosure ceilings sometimes cut out?

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
it's been my experience that the field service companies that banks employ to service and maintain the property have cut it out to correct a "freeze" break in the copper lines. Or it was cut out because they had a break and water leaked onto the drywall and they want to limit mold issues. They can't winterize a property properly with broken or split copper lines. At least that was always the case with Bank of America and Chase properties.
Should read.....taxes are $500.00 per year.
Post: ***Wholesale Deal*** DENVER*** 1,700 Sq Ft. 3/2 10K lot size 190K

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
Sales Price: 190K
1,700 Sq Ft ranch with finished basement, Denver address, good condition, one owner since built, well maintained, all hardwood under carpet. Newer furnace and water heater. Quiet Street, School 1/2 mile away.
850 sq ft up, 850 sq ft basement
3/2, 10K lot size, would make for a great rental, I advertised it at $1,600.00 per month and had 40 Responses in three days. I am busy with other projects and won't be able to get to this one until next year, so thought I'd offer it for sale. Taxes are low (under $500,00) and no HOA dues. Homes in Denver under 400K are selling instantly, grab this one.
Post: hard money loan

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
It would depend on how it's structured, but a vague estimate would be approximately 1,166.00 per month(at 14% APR) and whatever points the lender would charge either on the front end or at the time you close after rehab. Keep in mind a 2 month rehab and sale is very optimistic, by the time you rehab it, list it, close it and fund, two months in my option would be unrealistic. Good luck with it, I hope it works out for you!
Post: wholesaling

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
Originally posted by @Micki M.:
Don't feel too bad about your marketing and listen to the locals on this one. Denver's retail market is so insane, even the guys I know who flipped 20 houses last year aren't seeing deals with any room in them.
Micki is correct, the margins have thinned in Denver significantly, we have found that at least for us, the profits reside in "pop-tops", not the basic "flip". Denver is landlocked and (there are not any new sub-divisions coming into metro Denver) going "up" and adding square footage and value in that area makes sense, the drawback, it is expensive with us paying upwards of $500,000 for some properties and the scope of work is both costly and time consuming with planning and zoning taking up to 3 months or longer. The upside; it's not for everyone and therefore the profits can be substantial.
I started with 65K townhomes in Aurora and grew from there, those days seem to be long gone in Denver and surrounding areas. As an example, we listed a home for sale at 185K, it had 53 showings in one day alone and sold for 208K with contracts arriving almost every few minutes that day. It also amazingly appraised for the 208K. A similar scenario happened when we listed a property for 450K, it went for 45K over list price the same day, multiple offers, quick close. Another we listed for 199K, sold instantly for cash and he (the buyer) rented it within a few days of closing, he waived inspection and closed in three days. I've bid on properties that obtain 18-25 offers the same day and these are for the most part, all cash, no inspection, close in 10 days, if you want it fine, if not they move to the next offer, no leeway or room to budge whatsoever. These are homes that need complete makeovers, (Wash Park, Bonnie Brae, Barnum, Aurora, Thornton, Broomfield, Villa Park, Sloan's Lake), it does not matter the area As such, it's a wonderful time to be a seller in Denver!
Therefore, people who have lived in their homes for 20 plus years all over Denver are reading these same stories and listing their property to extract the maximum value possible and therefore cutting margins to razor thin proportions for flippers. And many who have lived in these storied areas for decades in Denver are moving to the suburbs, new builds, bigger lots, gorgeous floor plans and a better value per sq ft.
That's what is currently happening in the Denver market.
Post: Anyone ever start a rehab project BEFORE you closed on the property?

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
Hard to believe as almost all banks employ field service companies to verify and enforce that the property is secure until closing. He wouldn't even legally or even in the vaguest sense own the property. Builders risk insurance wouldn't even apply as he doesn't own it. Horrific idea I would say. And no realtor who has this listing for a bank would allow it. It violates pages of ethics and legal issues.
Post: My Denver Property Rehab Team

- Developer
- Lone Tree, CO
- Posts 52
- Votes 15
@Bill Coleman I would love to have you share your list with me. Thanks!
Correction: [email protected] is the correct email address